Rural/Metro Corporation (NASDAQ: RURL), a leading provider of ambulance transportation and private fire protection services, announced today that it has been awarded the contract to become the exclusive private ambulance partner for 911 services in Littleton, Colorado.
The new contract was awarded on a unanimous vote this week of the Littleton City Council and begins November 1, 2008 for an initial term of one year, followed by a one-year renewal term. The contract is expected to generate annual net revenue of approximately $1.5 million and was won in a competitive bidding process that included the incumbent provider.
Jack Brucker, President and Chief Executive Officer, said, “We look forward to expanding our presence in the metropolitan-Denver market and further leveraging our base of ambulance operations in Colorado.”
Boo Heffner, President of the West Emergency Services Group, added, “We are very proud to be selected as the best-qualified private ambulance service for Littleton’s emergency needs and look forward to partnering with Littleton Fire Rescue to provide a coordinated response to emergency medical calls.”
The contracted service area is located approximately 10 miles southwest of Denver and includes the City of Littleton, Highlands Ranch Metropolitan District, a portion of the City of Centennial and unincorporated portions of Jefferson County.
Rural/Metro has been operating in the Denver metropolitan area since 1998 when it was awarded the exclusive contract to provide emergency ambulance services in the City of Aurora. The Company employs more than 175 ambulance professionals in the metropolitan Denver area, providing services to nearly 40,000 patients each year.
About Rural/Metro
Rural/Metro Corporation provides emergency and non-emergency ambulance services and private fire protection services in 22 states and approximately 400 communities throughout the United States. For more information, visit the Company’s web site at www.ruralmetro.com.
SAFE HARBOR PROVISIONS FOR FORWARD-LOOKING STATEMENTS
The foregoing reflects the Company’s views about its financial condition, performance and other matters that constitute “forward-looking” statements as such term is defined by the federal securities laws. Many of these statements are indicated by words such as “may,””will,””expect,””anticipate,””believe,””estimate,””should,””continue,””predict,””preliminary” and similar words used herein. The Company may also make forward-looking statements in its earnings reports filed with the Securities and Exchange Commission (SEC), earnings calls and other investor communications. These forward-looking statements are subject to the safe harbor protection provided by federal securities laws. These forward-looking statements are subject to numerous risks, uncertainties and assumptions, including those relating to the Company’s future business prospects, working capital, cash flow, EBITDA, capital expenditures, payroll expense, repayment of debt, insurance coverage and claim reserves, unexpected governmental investigations, capital needs, operating results and compliance with debt facilities. In addition, the Company may face risks and uncertainties related to uncompensated care and its ability to collect its accounts receivable and other factors that are listed in its periodic reports filed under the Securities Exchange Act. Although the Company believes the expectations reflected in its forward-looking statements are based upon reasonable assumptions, because the statements are subject to risks and uncertainties, the Company can give no assurance that its expectations will be attained or that actual developments and results will not materially differ from those expressed or implied by the forward-looking statements. Readers are cautioned not to place undue reliance on the statements, which speak only as of the date hereof. The Company undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise, except as may be required by law.
(RURL/G)
CONTACT: Liz Merritt Rural/Metro Corporation (480) 606-3337 Sharrifah Al-Salem FD Ashton Partners (415) 293-4414
SOURCE: Rural/Metro Corporation
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